Part II Regulation of Insurance Companies

Powers of intervention

46 Notice of proposed exercise of powers on ground of unfitness of certain persons.

(1)

Before exercising with respect to a company any power or powers conferred by sections 38 to 45 above on the ground that F1theywould be prohibited from issuing an authorisation to the company because of the unfitness of a person for the position held by him (not being that of controller of the company), the F2Treasury shall serve on that person a written notice stating—

(a)

that the F2TreasuryF1are considering exercising a power or powers by those sections and the ground on which F1they are considering the exercise of the power or powers; and

(b)

that the person on whom the notice is served may, within the period of one month from the date of service of the notice, make written representations to the F2Treasury and, if that person so requests, oral representations to an officer of the F3Treasury appointed for the purpose by the F2Treasury.

(2)

Unless the F2Treasury , after considering any representations made in accordance with subsection (1) above by the person served with a notice under that subsection, F4decide not to exercise the power or powers in relation to which the notice was served, F5they shall before exercising the power or powers serve on the company a written notice—

(a)

containing the matters mentioned in paragraphs (a) and (b) of that subsection, taking references to the person there mentioned as references to the company; and

(b)

specifying the power or powers which F6they propose to exercise and, if the power or one of them is that conferred by section 45 above, specifying the manner of its proposed exercise.

(3)

A notice under this section shall give particulars of the ground on which the F2TreasuryF7are considering the exercise of the power or powers in question.

(4)

Where representations are made in accordance with this section the F2Treasury shall take them into consideration before exercising the power or powers in question.

(5)

A requirement imposed on a company in the exercise of any power or powers to which this section applies may be framed so as to come into effect after the expiration of a specified period (or such longer period as the F2Treasury may allow) unless before the expiration of that period the person whose fitness is in question has ceased to hold the position concerned.